Strategic flexibility, environmental dynamism, and innovation performance: An empirical study

Abstract A new competitive landscape requires businesses to adapt quickly to changeable conditions. In other words businesses need strategic flexibility. Strategic flexibility refers to an ability of firms to respond and adapt to environmental changes. Strategic flexibility enables firms many advantages. For example, it may improve to innovation performance and develop the competitive advantage of a firm in a dynamic environment. Innovation can be either explorative or exploitative innovations. In this study, we examined the relationship among strategic flexibility, environmental dynamism, and innovation performance, using a sample of 69 firms from Kayseri (Turkey). We found empirical support for the positive relationships among strategic flexibility, innovation performance, and environmental dynamism.

[1]  Rosemary Thomas Skordoulis.  Strategic flexibility and change: an aid to strategic thinking or another managerial abstraction? , 2004 .

[2]  Antonio J. Verdú-Jover,et al.  TQM, structural and strategic flexibility and performance: an empirical research study , 2005 .

[3]  Ron Sanchez,et al.  Preparing for an Uncertain Future: Managing Organizations for Strategic Flexibility , 1997 .

[4]  Barbara W. Keats,et al.  Navigating in the new competitive landscape: Building strategic flexibility and competitive advantage in the 21st century , 1998 .

[5]  S. Nadkarni,et al.  CEO Personality, Strategic Flexibility, and Firm Performance: The Case of the Indian Business Process Outsourcing Industry , 2010 .

[6]  Zi-Lin He,et al.  Exploration vs. Exploitation: An Empirical Test of the Ambidexterity Hypothesis , 2004, Organ. Sci..

[7]  P. Cardona,et al.  Modularity, strategic flexibility, and firm performance: A study of the home appliance industry , 2002 .

[8]  Antonio J. Verdú,et al.  The moderating effect of innovative capacity on the relationship between real options and strategic flexibility , 2010 .

[9]  V. Narayanan,et al.  Strategic schemas, strategic flexibility, and firm performance: the moderating role of industry clockspeed , 2007 .

[10]  M. Lubatkin,et al.  Ambidexterity and Performance in Small-to Medium-Sized Firms: The Pivotal Role of Top Management Team Behavioral Integration , 2006 .

[11]  Li Yuan,et al.  Can strategic flexibility help firms profit from product innovation , 2010 .

[12]  M. J. Zhang.  IS Support For Strategic Flexibility, Environmental Dynamism, And Firm Performance , 2006 .

[13]  Irem Demirkan,et al.  The Performance Consequences of Ambidexterity in Strategic Alliance Formations: Empirical Investigation and Computational Theorizing , 2007, Manag. Sci..

[14]  Sabine B. Reddy.  Strategic Flexibility and Information Technology Properties: Competitive Advantage and Asset Specificity , 2006 .

[15]  C. Gibson,et al.  THE ANTECEDENTS , CONSEQUENCES , AND MEDIATING ROLE OF ORGANIZATIONAL AMBIDEXTERITY , 2004 .

[16]  G. Stockport,et al.  Defining Strategic Flexibility , 2009 .

[17]  M. Hitt,et al.  Strategic flexibility:Organizational preparedness to reverse ineffective strategic decisions , 2004 .

[18]  R. Sanchez.  Strategic flexibility in product competition , 1995 .

[19]  K. Zhou,et al.  Technological capability, strategic flexibility, and product innovation , 2009 .